Before we start to get into the nitty-gritty of things, let's start off with a little history lesson. Fairly recent history, that is. Beginning in the not-so-far-away 2013 with dice betting platform PrimeDice, cryptocurrency made a lavish entrance in the casino industry.
Other gaming sites like Bitcasino.io closely followed in 2014, expanding to offer a crypto sports betting site Sportsbet.io in 2016. Obviously, the casino industry is always on the frontier when it comes to innovation, so it's no surprise that other forms of currency had to make an appearance eventually.
The iGaming industry was an early adopter of Bitcoin and other cryptocurrency payments - but one has to remember that the Bitcoin network had its inception only a few years prior. Bitcoin creator Satoshi Nakamoto mined the first block in 2010, while the first Bitcoin transaction took place in January 2010.
So you see - we're living in fast times and the industry isn't sleeping. Enough history for now however, let's dig into what makes cryptocurrencies such a great choice for your daily casino endeavours, shall we?
Blockchain in the iGaming Industry
Not so long ago, In 2018, an estimation determined that 50% of all Bitcoin transactions were related to online gambling. Today, cryptocurrencies can be used for many purposes in the iGaming industry other than using them as a payment method. Listed below are some of our favourites implemented today:
Transparency and fairness
One thing right off the bat, blockchains are immutable. That means they actively reduce the risk of fraud and transparency is guaranteed through public availability. The usage of applications built on something we call "smart contracts", is another factor.
Decentralized apps or "Dapps" for short, make it easier for anyone to audit these transactions, meaning nothing is left in the dark. Additionally, gaming regulators have the advantage of using Blockchain technology in common licensing procedures (the market is highly regulated) to ensure compliance and again, provide the best possible transparency.
iGaming platforms based on Blockchain
Ever heard of FunFair? No problem. FunFair is a white-label online casino platform that specializes in blockchains. It's an easy one-step procedure, where operators just have to add their branding and they can start marketing their online casino in no time.
The big kicker? FunFair enables operators to take their pick from several game developers (such as NetEnt, for example) that can be deployed on their online casinos.
We spoke about "smart contracts" before, which means decentralization in its core. What that means is, that no centrally controlled entity like a bank stores the funds, leading to lower costs of commission for the operator and, to no surprise, a faster transaction speed. And who doesn't like that?
Additionally, white-label solutions for sports betting like Bethereum bring the benefits of using a blockchain to sports betting.
Better payment processes
When compared to traditional financial transactions, cryptocurrency transactions are faster and cheaper. By switching to cryptocurrency payments, the operators lower the cost of handling payments. Simultaneously, the players get a more convenient way of depositing and withdrawing, leading to a win-win situation.
What are the advantages of using cryptocurrency in iGaming?
- Online casinos make great use of cryptocurrencies
- A lot of them use blockchains as a form of payment
- The biggest advantage? Lower charges and superior exchange rate
The rise of digital currencies has led to a form of revolution when it comes to payments in online casinos. They've been around for a while now, and the iGaming industry was - as mentioned - on the forefront of this revolution. As soon as crypto hit the scene, online gambling dens started to implement the currency into their day-to-day frameworks.
With great success, we might add. And yes, Bitcoin was the first to enter the market and take it by storm - but it wasn't long until others followed suit. Tron gambling clubs, Ethereum Club, Bitcoin Club and even Dogecoin Clubs were made accessible to players all around the world. And we say: more power to them!
More variety means more possibilities for the player, which is something we can all get behind. Web-based gaming and digital currency are a match made in heaven, but many a gamer doesn't understand the convenience and, frankly, power of that union, leading to sceptical reviews everywhere.
These speculators are part of the reason why betting laws were put into place to confine such payment methods; all the more reason to use review sites in order to find out where the best place is to use cryptocurrency in online casinos.
New technologies are invented by the second, which means additional security protocols have to be implemented to protect you - the player - from said advanced technology. Online banking systems are encrypted and usually safe to use, but inventive hackers are continuously trying to find a way to access your sensitive data regardless.
Regular banks have natural vulnerabilities that can be exploited, but crypto is a different game altogether. Completing transactions and sharing your private information can be achieved without putting your safety and privacy at risk, which is a huge bonus.
With blockchain-based payments, transactions are safe and the risk of being financially hurt is mitigated. Transactions cannot be easily manipulated. Another great thing about crypto is the ability to place as many private bets as you wish. Anonymity is written with a capital A here.
Enjoy major credibility
Other than the obvious advantages of crypto to online casino operators and punters, blockchain affects many technologies that online casinos use. When used well and with the proper management, the technology allows operators to offer an unmatched user experience.
The major advantage is that online casinos that use blockchain technology don't have to dabble with third-party businesses. The blockchain secures all transactions that take place. It doesn't need any support and that leads to modern players, which are interested in online casinos, being able to accept digital payments.
Players can play games and complete transactions without any outside threats, further adding to the mentioned credibility.
Receive better Promotions and Casino Bonuses
Crypto transactions are what we call "end to end" and therefore processing them is easier and a lot cheaper too, since it cuts out the middleman. Receiving your coins straight from the operators, means that promotions and casino bonuses can be a lot more generous - there are no additional costs that neither the player nor the casino benefits from.
Lenient wagering requirements and better T&C's (terms and conditions) can be a neat way to earn those extra coins. Little addendum; you can turn those free credits into lucrative winnings and some casinos even offer physical perks such as smartphones or other tech gifts.
Low-cost payments that don't take forever to arrive
Let's face it, the era of traditional payments is over. They might have their benefits but those are far outweighed by their limitations, in our humble opinion. Traditional payments offer a lot of liquidity, which means that trouble in changing your money into gambling credits is reduced; however, there are many loopholes that nifty hackers can - and will - take advantage of.
Conventional banking methods can lead to you losing your hard-earned cash solely by trying to complete a transacting. The solution? You guessed it. Crypto payments. There really isn't a major downside to using this method.
You'll have speed and safety on your side, since Crypto transactions are instant and your identity is naturally hidden. If you wish to validate or verify your transactions, you can refer to the decentralized ledger.
The best part comes last: crypto has very low transaction charges. All you have to pay for is your internet connection and computer power, which most of us do anyway. Third.-party-fees do not apply here.
The Future of Bitcoin in iGaming
Crypto now plays an essential part in web-based betting, and it has been a critical partner to online gambling clubs and, all the more significantly, the players. With crypto, the exchanges you make in betting locales are quicker, simpler, more helpful, or more all, protected.
Crypto betting has made some amazing progress since its initial days, and we are sure that the training will proceed to extend and improve to help all players on the planet. Our projection for the future is bright, if nothing else. We can't wait to see what this particular branch of the industry has in store for us!
The best way to learn - browse review sites to up your game
We can talk about what WE think is best for you all day, but at the end of the day; it's your choice. The best way to enhance your knowledge and become a better judge of these sorts of things is to check out leading review sites and create your own picture of which iGaming platform to choose.
Online comparison websites do the hard work for you, reviewing which Bitcoin casinos are provably fair, licensed and regulated, and offer large welcome bonuses that are also easy to clear as you play.
As the mantra goes when it comes to investing in cryptocurrency, do your own research (DYOR). Gaming with crypto should be no different. Review sites give you a starting point for your crypto-casino career, so it pays off to show up and take a look at these websites when you're shopping around for the best bonus deals.